No.07/MRU/MIPEL-March 2010                                                              20th November 2009
 

Members of the Council, (Exporters of Leather Goods / Accessories)
      

IMPORTANT & IMMEDIATE

Dear Members,  

Sub: 97th MIPEL – The Bag Show, Milan , Italy , March 3-6, 2010  

As members are aware MIPEL – The Bag Show, Milan, Italy,  is the largest and leading  international Fair specialized for  for leather-goods, bags, luggage, sacks, wallets and the full spectrum of leather accessories. It is heldtwice in a year - March and September in the futuristic Fieramilano Trade Fair and exhibition complex in Milan, a global fashion and design capital. For more details please visit website of the fair organizer at www.mipel.com 

Display Product: Leather Goods, Bags, Luggage, Sacks, Wallets, Purses and  
                             Accessories. (Autumn-Winter Collections 2010-11)

Dates :                 3-6, March 2010 (Wednesday to Saturday)
Venue:                 Fiera Milano in Rho, Milan Italy .  

About the Italian Market :

 Italy is the 3rd largest importer in global leather trade with total imports of about US$ 9469.67 Million (2007). Italy has a strong traditional trade relationship with India in Leather sector.
Italy is the second largest importer of Indian leather and leather products, accounting for 12.82% of its export share during 2008-09. India’s Share in Italy’s total import of leather and leather products was 5.18% (2007).
Italy is the sixth largest importer of leather goods and accessories in the world with total imports to the tune of US.881.88 million, accounting for a share of 5.52% in the global imports of leather goods and accessories valued at US.$.15974.27 million (2007).

India’s export of leather goods and accessories to Italy has been increasing over last 5 years and reached US.$.67.51  million in 2008-09. However, India’s share in Italy’s total imports of Leather goods and accessories is only 6.46% only. Hence there is enormous scope for Indian leather products sector to further increase exports of leather goods & accessories to Italy. 
Council’s participation:   The Council has been participating in MIPEL Fair since March 2002 in both edition of March & September every year. 

In September 2009 edition, given the extremely difficult market situation, the exhibition had a more than expected results and survived the worst crisis. 420 exhibitors participated and14251 buyers attended the Show, out of which 7920 from abroad and 6961 from Italy. 

Considering the high cost of participation, the small exporters find it difficult to participate due to very high space cost, which is costing about Euro 396 per sq.mtr and is the highest among all European Fairs. Added to this, there are other charges such as Registration fee, catalogue fee, Insurance fees payable to fair organizer, which works out to Euro 1097 per company. Taking into account all these payments and including Stand Construction and other organisation expenses, the cost works out to about Rs.38,000/- per sq.mtr.(approx) 

Facilitation of Members participation under Market Access Initiative Scheme (MAIS):

 In order to support the Indian manufacturers/exporters of leather goods & accessories, who are predominantly from the SME sector, to take part in this important specialized fair for leather goods & accessories, the Council had approached Dept of Commerce to approve the participation in Mipel Fair March 2010 edition also with funding support under MAI Scheme.  
We are glad to inform our members that the Council’s proposal for facilitation of members participation in Mipel Fair March 2010 edition was also approved by Dept of Commerce under MAI scheme. Accordingly the Council has planned to organize participation of member exporters March 2010 edition scheduled from 3-6 March 2010 at subsidized participation cost to the maximum extent towards space rent, other charges payable to fair organizer including stand construction .  

Tentative Participation cost:  According to cost of space, construction other services etc the tentative participation cost works out to Rs. 4,75,000/- for a minimum stand size of 12 sq mtrs. The final participation cost will be worked out after the event. 

Since the participation in the Mipel Fair is organized with funding support under MAI scheme, the subsidized cost of participation for a minimum size of 12 sq mtr stand will be about Rs.1,25,000/-  
Members may kindly note that in view of participation in this Fair is being organized with funding support under MAI scheme, no assistance under MDA scheme will be available to individual exporters. 
Hence member-exporters are requested to avail the opportunity and take part in the Mipel Fair, March 2010 edition. Please send the duly filled in Application form along with the initial participation fee of Rs.1,25,000/- by Cheque/DD drawn in favour of Council for Leather Exports.  This may be sent to either Council’s Head office in Chennai or Regional Offices at Delhi , Kanpur , Mumbai, Kolkata & Agra on or before 5th December, 2009.
Please also note participants will have to arrange the Italian Visa on their own. However, the Council will arrange for the invitation letter from the fair organizer to facilitate obtaining of visas to participants.  Kindly note that non-issuance of Visa will not be considered as a valid ground for withdrawal subsequent to confirmation of participation. Hence, withdrawal from participation after confirmation will not be allowed.  

With best regards,

Yours sincerely,

Ali Ahmed Khan
Executive Director  

Note:  
1.   Keeping in view the limited space of 300 sq.mtr / 25 booths of 12 sq.mtr, the stand allotment will be made on “First-cme-first serve “ basis, which will be considered as per the date of receipt of duly filled Application and payment of total payment of prescribed participation fee.

2.   Kindly note that support under MAI scheme is subject to participation of minimum 25 exporters in this edition of MIPEL.  Accordingly, the MAI grant is admissible only for 12 sq mtr booth to ensure equal availing of assistance under this scheme by all participants. Hence no additional booth for group companies will not be allotted.  

3. In case additional booth is required for companies in the same group, the same will be allotted at the actual cost based on various payments made towards Space cost, Registration fee, other charges payable to Fair organizer including stand construction charges and other organizing expenses. (In other words participation cost will be without funding support under MAI scheme).

4.  Similarly, members willing to have more than 12 sq mtr space will be required to pay additional space and construction cost which will be without funding support of MAI scheme. This will again be based on actual payments made.

5.   According to the estimates, the space cost per sq.mtr works out to Rs.32,000/-. Hence, those who desire to have more than 12 sq.mtr space have to remit Rs.1,25,000/- plus additional space cost at Rs.32,000/- per sq.mtr. For eg: for 16 sq.mtr booth, the participation fees will be Rs.1,25,000/- (for uniform 12 sq.mtr) plus Rs.1,28,000/- (for additional 4 sq.mtr), thus totaling to Rs.2,53,000/-.

Application Form